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Stocks End Higher as Investors Prep for Tech Earnings, Fed Update

Stocks close at record highs as Wall Street prepares for a big week of earnings from tech giants and policy update from the Federal Reserve.

The three major stock exchanges closed at record highs Monday as Wall Street readied for a big week of earnings from the likes of Apple  (AAPL) - Get Apple Inc. (AAPL) Report, Amazon  (AMZN) - Get Amazon.com, Inc. Report, Microsoft  (MSFT) - Get Microsoft Corporation (MSFT) Report, Tesla  (TSLA) - Get Tesla Inc Report and Alphabet  (GOOGL) - Get Alphabet Inc. Class A Report and a policy update from the Federal Reserve.

The Dow Jones Industrial Average finished up 82 points, or 0.24%, to 35,144, and the S&P 500 rose 0.24%. The Nasdaq gained 0.03%.

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Stocks closed in record territory Friday, with the Dow closing above 35,000 for the first time, as earnings optimism lifted Wall Street sentiment.

The S&P 500 rose 1.9% for the week and the Nasdaq gained 2.8%. The Dow rose 1% for the week.

The yield on the benchmark 10-year Treasury rose Monday to 1.294% as investors awaited the Federal Reserve's outlook for stimulus.

The central bank's two-day meeting begins Tuesday and ends Wednesday with a policy statement and a press conference from Fed Chairman Jerome Powell.

"Though the market is pointing to the red to kick off the week, keep in mind that we’re entering the final week of July at record levels. There’s no shortage of potential catalysts with the (Federal Open Market Committee) meeting and GDP on deck, and earnings seasons picking up the pace with tech heavyweights reporting (along with more than 1,000 companies)," said Chris Larkin, managing director of trading at E*trade.

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"And while the Delta variant is getting a lot of the heat for last week’s market drop, it could be argued that it’s getting too much of the blame," Larkin added.

Tesla  (TSLA) - Get Tesla Inc Report shares rose 2.21% ahead of second-quarter earnings from the electric vehicle company after Monday's closing bell. 

Analysts expect Tesla to report second-quarter earnings of 94 cents a share on revenue of $11.53 billion.

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About a third of the companies in the S&P 500 will be reporting earnings this week. So far, more than 88% of the 120 companies reporting have topped Wall Street forecasts.

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Bitcoin prices were rising solidly Monday amid speculation Amazon could be entering the cryptocurrency sector.

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